Filing Flows › Chegg (CHGG) › Q1 2026
Chegg (CHGG) Q1 2026 earnings results (first quarter 2026)
10-Q filed May 11, 2026
Chegg (CHGG) reported revenue of $63.3M for the first quarter 2026 (Q1 2026), -48% from a year earlier and -13% from the quarter before. Operating margin was -1.6%, net earnings $228K (0.4% of revenue).
Chegg, Q1 2026: revenue $63.3M (-48% year over year), operating margin -1.6%, net earnings $228K, operating cash flow $4.1M. The chart follows the revenue to costs, profit and cash.
| Q1 2026 | Amount | Q/Q | Y/Y |
|---|---|---|---|
| Revenue | $63.3M | -13% | -48% |
| Operating profit | −$1.0M | — | — |
| Net earnings | $228K | — | — |
| Operating cash flow | $4.1M | — | -83% |
| Free cash flow | $3.1M | — | -81% |
What changed
Revenue was $63.3M in Q1 2026, down 48% year over year and down 13% from the previous quarter. Academic Services was the largest line at 72% of revenue. Academic Services lost $59.6M year over year (down 57%), 102% of the total change.
Gross margin was 59.9%, up 4.4 points from Q1 2025. Operating costs exceeded revenue by $1.0M, an operating margin of -1.6%. Operating expenses fell 60% while revenue fell 48%. Net earnings were $228K. The tax line was a benefit of $140K on pre-tax earnings of $88K. Non-operating items added $1.1M, 1278% of pre-tax earnings, so the bottom line overstates operating performance.
Operating cash flow was $4.1M (down 83% year over year), 1800% of net earnings. Non-cash charges added back $2.7M of share-based compensation. Working capital and other items added $1.2M. After purchases of property and equipment ($1.0M), free cash flow as the company reports it was $3.1M.
Questions
What was Chegg's revenue in the first quarter 2026?
Chegg (CHGG) reported revenue of $63.3M for the first quarter 2026 (Q1 2026), -48% from a year earlier and -13% from the quarter before.
Was Chegg profitable in the first quarter 2026?
Operating loss was $1.0M (-1.6% of revenue) and net earnings $228K.
Source: Chegg 10-Q on SEC EDGAR.